Franklin Templeton is looking to broaden the distribution of its SMA investing solutions through an expanded partnership with Envestnet.
The amplified alliance, which was unveiled on Wednesday, will bring tax-managed, personalized strategies to Envestnet's network of advisors through the Canvas Custom Indexing platform.
Through the integration, advisors at banks, wealth management, and brokerage firms as well as RIAs with the fintech giant – which is set to go private in the fourth quarter – will gain access to Franklin Templeton’s suite of tax-focused, customizable solutions.
“This marks another milestone for Franklin Templeton, furthering our position as a top SMA provider,” Roger Paradiso, head of product solutions for Franklin Templeton, said in a statement. “The integration of Canvas on to the Envestnet platform is an exciting partnership that allows us to jointly bring more high-net-worth capabilities to the mass affluent investing community."
The Canvas platform offers advisors the ability to create personalized portfolios, emphasizing tax management. The company says it goes beyond traditional direct indexing, offering advisors greater control over investment strategies and a comprehensive range of solutions to scale their businesses efficiently.
Franklin Templeton has also pursued integrations with other platforms in its quest for scale in the SMA space this year, including a partnership with UBS in June and another alliance with Orion in August.
It's new deal with Envestnet could represent a massive boost in distribution opportunities, as the fintech giant's platform encompasses more than $6 trillion in assets, nearly 20 million client accounts, and over 109,000 financial advisors
Dana D’Auria, co-chief investment officer and group president of Envestnet Solutions, noted the growing demand for personalized investment strategies, particularly in direct indexing.
“Investors are increasingly seeking customized solutions, and their advisors are looking to deliver on that expectation by providing personalization at scale across their business,” said D’Auria. "Direct indexing empowers advisors to tailor a portfolio that better aligns with their client’s personal values, tax goals, and long-term objectives."
The Canvas platform will be rolled out to the Envestnet ecosystem in phases, starting with passive equity models and expanding over time. As of June 30, Franklin Templeton reportedly managed $140 billion in SMA assets, with $9 billion on the Canvas platform.
Merrill's latest hires span Colorado to Louisiana, even as industry-wide recruiting data suggests the firm is losing almost as many advisors as it gains.
The $36 million buy allegedly hid inflated books and a $50 million diversion.
“An award citing emotional distress is very unusual,” an industry executive said.
New EBRI research found workers who participated in employer financial education reported higher confidence, literacy and financial satisfaction.
Beyond operational excellence, the winning advisors of the future are the ones who can reach across multiple disciplines without discarding specialist skills.
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
